Millions of British consumers have moved their debts to a single lender over the course of the past few years, according to recent research.
Figures compiled by MoneyExpert have shown that around 6.5 million people around the country have seen fit to use a debt consolidation loan in an effort to solve their personal finance problems during the past three years.
This figure means that almost 15 per cent of all British adults have consolidated their debts and more than 1.25 million consumers have taken up this option to deal with debts worth more than £20,000, the price comparison firm reports.
“It is encouraging that so many people have taken action as you can make significant savings by moving all your debts to one place,” said Sean Gardner, chief executive of MoneyExpert.
“It is crucial that borrowers see consolidation as a wake-up call to get debts under control,” he added.
According to data from the UK’s payments association Apacs, as much as £11.3 billion worth of credit card debt was accumulated in the UK during December of last year.